The objective of this paper is to illustrate a method of determining the process capability of new or existing equipment. The method may also be modified to apply to testing laboratories. Long term changes in the system may be determined by periodically making new test parts or submitting samples from the original set to the testing laboratory. The technique described has been developed through a series of projects in special topics manufacturing courses and graduate student projects. It will be implemented as a standard experiment in an advanced manufacturing course in a new Manufacturing Engineering program at the University of Wisconsin-Stout campus. Before starting a project of this nature, it is important to decide on the exact question to be answered. In this case, it is desired to know what variation can be reasonably expected in the next part, feature, or test result produced. Generally, this question is answered by providing the process capability or the average value of a measured characteristic of the part or process plus or minus three standard deviations. There are two general cases to be considered: the part or test is made in large quantities with little change, or the process is flexible and makes a large variety of parts. Both cases can be accommodated; however, the emphasis in this report is on short run situations.